Regional economies in the north of England and the Midlands are gearing up to take over from the London and southeast of the country as they are hit by a property market downturn and the global credit squeeze, according to new research from Credit Suisse's private bank.

Credit Suisse said long-term trends were in evidence for the past two or three years that suggest the regions outside London, particularly in the north of England, are on an upward swing and may improve their position compared to the capital and its surrounds.